Реферат: Customs Service

Customs is an authority or agency in a country responsible for
collecting and safeguarding customs duties and for controlling the
flow of goods including animals, personal effects and hazardous items
in and out of a country. Depending on local legislation and
regulations, the import or export of some goods may be restricted or
forbidden, and the customs agency enforces these rules. The customs
may be different from the immigration authority, which monitors
persons who leave or enter the country, checking for appropriate
documentation, apprehending people wanted by international arrest
warrants, and impeding the entry of others deemed dangerous to the
country.

A customs duty is a tariff or tax on the export of goods. In the
Kingdom of England, customs duties were typically part of the
customary revenue of the king, and therefore did not need
parliamentary consent to be levied, unlike excise duty, land tax, or
other forms of taxes.

Commercial goods not yet cleared through customs are held in a
customs area, often called a bonded store, until processed. All
authorized ports are recognized customs area.

Red and Green Channels

Customs procedures for arriving passengers at many international
airports, and some road crossings, are separated into Red and Green
Channels. Passengers with goods to declare (carrying items above the
permitted customs limits and/or carrying prohibited items) should go
through the Red Channel. Passengers with nothing to declare (carrying
goods within the customs limits only and not carrying prohibited
items) can go through the Green Channel. Passengers going through the
Green Channel are only subject to spot checks and save time. But, if
a passenger going through the Green Channel is found to have goods
above the customs limits on them or carrying prohibited items, they
may be prosecuted for making a false declaration to customs, by
virtue of having gone through the Green Channel.

Canada and the United States do not operate a red and green channel
system.

Airports within the EU also have a Blue Channel. As the EU is a
customs union, travelers between EU countries do not have to pay
customs duties. VAT and Excise duties may be applicable if the goods
are subsequently sold, but these are collected when the goods are
sold, not at the border. Passengers arriving from other EU countries
should go through the Blue Channel, where they may still be subject
to checks for prohibited or restricted goods. In addition,
limitations exist on various tobacco products being imported from
certain newly-joined EU member states and use of the Blue Channel if
those limitations are being exceeded would be inappropriate. Luggage
tickets for checked in luggage within the EU are green-edged so they
may be identified. UK policy is that entry into a particular Channel
constitutes a legal declaration.

Privatization of customs

Customs is an important part of the government involved in one of the
three basic functions of a government, namely, administration,
maintenance of law, order and justice and collection of revenue.
However, in a bid to mitigate corruption, many countries have partly
privatized its Customs. This has occurred by way of engagement of
Pre-shipment Inspection Agencies who examine the cargo and verify the
declared value before importation is effected and the nation Customs
is obliged to accept the report of the agency for the purpose of
assessment of leviable duties and taxes at the port of entry. While
engaging a pre-shipment inspection agency may appear justified in a
country with an inexperienced or inadequate Customs establishment,
the measure has not really been able to plug the loophole and protect
revenue. It has been found that evasion of Customs duty escalated
when pre-shipment agencies took over. It has also been alleged that
such involvement of such agencies has been causing delays in the
shipment process. Privatization of Customs has been viewed as a fatal
remedy.

Summary of basic custom rules

Canada

No customs for mailed goods below $20 CAD.

No customs for gifts below $60 CAD.

Personal exemption amount is given to all household or personal use
items imported from another country. The amount depends on the time
spent outside of Canada and only accounts for Federal taxes and
duties (provincial taxes may still apply). They cannot be combined
with another person nor by multiplying them (i.e. 21 days outside of
Canada does not equal to $2250 exemption)

24 hours or less = $0 CAD

24–47 hours = $50 CAD

48–7 days = $400 CAD

7 days or more = $750 CAD

Immigrants, in general, have a one time unlimited import allowance.
However, certain articles are restricted from importation (i.e.
vehicles not meeting Canadian safety standards, firearms, etc)

EU

Germany

Mail limit 22 EUR for commercial goods.

Romania

Customs may be very strict, especially for mailed goods (from outside
the EU). No known lower limit. Taxes may be stiff. There may be an
outgoing custom tax too.

Slovakia

Up to 22€ there is no taxes (it's free). From 22€ up to
150€, there is need to pay VAT (DPH in slovak) which is 19%.
From 150€ there is need to pay VAT and customs. Customs may be
from 0 to 10% and amount depends on type of imported good.

Hong Kong

Hong Kong is a free port and generally do not impose duties on
imported or exported goods, with the exception of liquors, tobacco,
methyl alcohol and hydrocarbon oil. Residents leaving the territory
with a valid Hong Kong Identity Card for 24 hours or more may import
up to 1 litre of alcohol and 60 cigarettes or 15 cigars.

The World Customs Organization (WCO) is an intergovernmental
organization headquartered in Brussels, Belgium. With its worldwide
membership, the WCO is recognized as the voice of the global customs
community. It is particularly noted for its work in areas covering
the development of international conventions, instruments, and tools
on topics such as commodity classification, valuation, rules of
origin, collection of customs revenue, supply chain security,
international trade facilitation, customs enforcement activities,
combating counterfeiting in support of Intellectual Property Rights
(IPR), integrity promotion, and delivering sustainable capacity
building to assist with customs reforms and modernization. The WCO
maintains the international Harmonized System (HS) goods
nomenclature, and administers the technical aspects of the World
Trade Organization (WTO) Agreements on Customs Valuation and Rules of
Origin.

History

In 1947, thirteen European countries established a Study Group to
examine customs issues identified by the General Agreement on Tariffs
and Trade (GATT). This work led to the adoption in 1950 of the
Convention Establishing the Customs Co-operation Council (CCC), which
was signed in Brussels. On January 26, 1953 the CCC’s inaugural
session took place with the participation of 17 founding members. WCO
membership subsequently expanded to cover all regions of the globe.
In 1994, the organization adopted its current name, the World Customs
Organization. Today, WCO members are responsible for customs controls
on more than 98% of all international trade.

The WCO is internationally acknowledged as the global centre of
customs expertise and plays a leading role in the discussion,
development, promotion and implementation of modern customs systems
and procedures. It is responsive to the needs of its members and its
strategic environment, and its instruments and best-practice
approaches are recognized as the basis for sound customs
administration throughout the world.

The WCO’s primary objective is to enhance the efficiency and
effectiveness of member customs administrations, thereby assisting
them to contribute successfully to national development goals,
particularly revenue collection, national security, trade
facilitation, community protection, and collection of trade
statistics.

Instruments

In order to achieve its objectives, the WCO has adopted a number of
customs instruments, including but not limited to the following:

1) The International Convention on the Harmonized Commodity
Description and Coding System (HS Convention) was adopted in 1983 and
came into force in 1988. The HS multipurpose goods nomenclature is
used as the basis for customs tariffs and for the compilation of
international trade statistics. It comprises about 5000 commodity
groups, each identified by a six digit code arranged in a legal and
logical structure with well-defined rules to achieve uniform
classification. The HS is also used for many other purposes involving
trade policy, rules of origin, monitoring of controlled goods,
internal taxes, freight tariffs, transport statistics, quota
controls, price monitoring, compilation of national accounts, and
economic research and analysis.

2) The International Convention on the Simplification and
Harmonization of Customs procedures (revised Kyoto Convention or RKC)
was originally adopted in 1974 and was subsequently revised in 1999;
the revised Kyoto Convention came into force in 2006. The RKC
comprises several key governing principles: transparency and
predictability of customs controls; standardization and
simplification of the goods declaration and supporting documents;
simplified procedures for authorized persons; maximum use of
information technology; minimum necessary customs control to ensure
compliance with regulations; use of risk management and audit based
controls; coordinated interventions with other border agencies; and a
partnership with the trade. It promotes trade facilitation and
effective controls through its legal provisions that detail the
application of simple yet efficient procedures and also contains new
and obligatory rules for its application. The WCO revised Kyoto
Convention is sometimes confused with the Kyoto Protocol, which is a
protocol to the United Nations Framework Convention on Climate Change
(UNFCCC or FCCC).

3) ATA Convention and the Convention on Temporary Admission (Istanbul
Convention). Both the ATA Convention and the Istanbul Convention are
WCO instruments governing temporary admission of goods. The ATA
system, which is integral to both Conventions, allows the free
movement of goods across frontiers and their temporary admission into
a customs territory with relief from duties and taxes. The goods are
covered by a single document known as the ATA carnet that is secured
by an international guarantee system.

4) The Arusha Declaration on Customs Integrity was adopted in 1993
and revised in 2003. The Arusha Declaration is a non-binding
instrument which provides a number of basic principles to promote
integrity and combat corruption within customs administrations.

5) The SAFE Framework of Standards to Secure and Facilitate Global
Trade was adopted in 2003. The SAFE Framework is a non-binding
instrument that contains supply chain security and facilitation
standards for goods being traded internationally, enables integrated
supply chain management for all modes of transport, strengthens
networking arrangements between customs administrations to improve
their capability to detect high-risk consignments, promotes
cooperation between customs and the business community through the
Authorized Economic Operator (AEO) concept, and champions the
seamless movement of goods through secure international trade supply
chains.

Administration

The WCO Secretariat is headed by a Secretary General, who is elected
by the WCO membership to a five year term. The current WCO Secretary
General is Kunio Mikuriya from Japan, who took office on 1 January
2009. Secretary General Mikuriya has made enhanced communication,
capacity building, and research his top priorities. The WCO is
governed by the Council, which brings together all Members of the
Organization once a year, in a meeting chaired by an elected
Chairperson. Additional strategic and management guidance is provided
by the Policy Commission and the Finance Committee. Several WCO
committees provide a platform for developing instruments and best
practices on customs competencies.

Chapter III - Regulations for the Federal Customs Service of Russia:
organization, management.

I. General Provisions

The Federal Customs Service (FCS) of Russia is a Federal executive
authority, performing in accordance with the legislation of the
Russian Federation the functions of control and supervision in the
field of customs and the functions of a currency control agent and
special functions of contraband control, abatement of other crimes
and administrative violations.

The Federal Customs Service (FCS) is under the jurisdiction of the
Ministry of Economic Development and Trade of the Russian Federation.

The FCS in its activity is guided by the Constitution of the Russian
Federation, federal laws, decrees and regulations of the President of
the Russian Federation, international agreements of the Russian
Federation, regulatory legal acts of the Ministry of Economic
Development and Trade of the Russian Federation, the Ministry of
Finance of the Russian Federation and the Central Bank of the Russian
Federation, and also by present Regulations.

The FCS operates directly, through customs houses and representative
offices of the Service abroad, in cooperation with other federal
executive authorities, executive authorities of the subjects of the
Russian Federation, municipal authorities, the Central Bank of the
Russian Federation, public associations and other organizations.

II. Authority Conferred by Office

The FCS has the following authority conferred to by the office in the
established area of focus:

5.1. to perform levying of customs fees, taxes, antidumping, special
and compensatory countervailing duties, customs dues, control
accuracy for calculation and timely payment of such fees, taxes and
duties, take measures for their recovery by enforcement;

5.2. to provide for compliance with the established prohibitions and
limitations with respect to goods transferred across the customs
border of the Russian Federation in accordance with the legislations
of the Russian Federation on state regulation of foreign trade
activity and international agreements of the Russian Federation;

5.3. to provide for uniform application by customs authorities of the
customs legislation of the Russian Federation;

5.4.to perform customs processing and customs control;

5.5. to make decisions on classification of goods in accordance with
the Nomenclature of Goods subject to Foreign Trade and provide for
publication of such decisions;

5.6. to provide within its competence for the protection of
intellectual property;

5.7. to make in accordance with established procedure preliminary
decisions on classification of commodity in accordance with the
Nomenclature of Goods subject to Foreign Trade, on the origin of
goods from a specific country (country of goods' origin);

5.8. is responsible for:

5.8.1. keeping register of entities engaged in the activities in the
field of customs;

5.8.2. keeping register of banks and other credit organizations,
authorized to provide bank guaranties for payment of customs charges;

5.10. to inform and provide advice free of charge on the issues of
customs for participants of foreign trade activity;

5.11. to perform within its competence control of currency
operations, related to transfer of goods and transport vehicles
across the customs border of the Russian Federation;

5.12. to carry out proceedings on administrative violations and
consideration of such cases in accordance with the legislation of the
Russian Federation on administrative violations;

5.13. to carry out investigations and immediate investigation
proceedings in accordance with procedural criminal legislation of the
Russian Federation;

5.14. to carry out in accordance with the legislation of the Russian
Federation operational search actions;

5.15. to develop and create in accordance with established procedure
information technologies, IT hardware and information systems used by
customs authorities;

5.16. to perform the functions of main manager and recipient of
Federal budget funds, allocated for maintenance of the Service and
performance of the imposed functions;

5.17. to provide within its competence protection of state secret
information;

5.18. to consider complaints to decisions, actions or inaction of
customs bodies and customs officers;

5.19. to arrange for public function, provide for timely and thorough
consideration of appeals of public, to make decisions on such appeals
and respond to applicants in the term established in accordance with
the legislation of the Russian Federation;

5.20. to provide for mobilization training of the Service, as well as
control and coordination of activity of the organizations under its
jurisdiction in terms of mobilization training;

5.21. to set up professional training of executive officers of
customs authorities, refresher courses, advance training and training
on probation;

5.22. to accomplish in accordance with the legislation of the Russian
Federation work on acquisition, safekeeping, accounting and using of
archive documents generated in the process of the Service operation;

5.23. to interact in accordance with established procedure with the
bodies of foreign governments and international organizations in the
established area of activity, including that of representation on
behalf of the Government of the Russian Federation the interests of
the RF in the World Customs Organization (Council for Customs
Cooperation) and other international organizations;

5.24. to conduct in accordance with established procedure and enter
into government contracts for placing goods supply orders,
performance of works, rendering of services for the own needs of the
Service, and for R&D works for government needs in established
area of activity;

5.25. to perform functions of customer in erection of customs houses,
customs check-points and other objects required for development of
customs infrastructure;

5.26. to perform functions of customer in working out sketches and
printing of excise stamps for marking alcohol production, tobacco and
tobacco goods, imported to the customs territory of the Russian
Federation;

5.27. to implement programs of customs procedures in the Russian
Federation;

5.28. to perform other functions in established area of activity, if
such functions are envisaged by federal laws, regulatory legal acts
of the President of the Russian Federation.

The Federal Customs Service with the purpose of realizing its
authority in the established area of activity is authorized to:

6.1. with the concurrence of the Ministry of Economic Development of
the Russian Federation:

to set up, restructure and liquidate customs terminals, specialized
customs bodies with their competence limited by several warrants for
performance of certain functions, imposed on customs authorities, or
for carrying out of customs operations in relation to the specific
types of goods;

to define the region of activity of customs bodies;

approve general or individual provisions on customs bodies;

6.2. to organize necessary investigations, tests, experts’
examinations, analyses and evaluations, as well as scientific
research in established area of activity;

6.3. to request the information required for making decisions on the
issues, related to established area of activity;

6.4. to provide to legal entities and physical persons explanations
on the issues relating to established area of activity;

6.5. to provide control, including financial control, over activity
of customs authorities and representative offices of the FCS abroad;

6.6. to attract in accordance with established procedure for
processing the issues, referred to the established area of activity,
scientific and other organizations, and also scientists and experts;

6.7. to apply the measures envisaged by the legislation of the
Russian Federation of restrictive, warning or preventive character,
directed for prevention and/or suppression of violations by legal
entities or physical persons and citizens of compulsory requirements
in established area of activity, and also to apply the measures to
liquidate the effects of the above violations;

6.8. to set up advisory and experts’ bodies (councils,
commissions, groups, boards) in established area of activity;

6.9. to develop and approve samples of service certificates and the
order of wearing uniforms.

The FCS is not entitled to perform in established area of activity
regulatory legal regulation, except for the cases, established by
federal laws, decrees of the President of the Russian Federation and
regulations of the Government of the Russian Federation, as well as
the functions of governmental estate administration and rendering of
charged services.

The limitations specified in the first paragraph of present article
are not applied to the authority of the Head of Service of estate
administration, assigned to the Service as per the right of
operational control, resolving of staffing issues and the issues of
organization of the activities of the Service.

III. Activity Arrangement

The Federal Customs Service is headed by the senior executive officer
to be appointed and dismissed from office by the Government of the
Russian Federation on proposal of the Minister of Economic
Development and Trade of the Russian Federation.

The Head of the FCS is personally responsible for implementation of
authority imposed on the Service.

The Head of the FCS has deputies, commissioned and dismissed from
office by the Minister of Economic Development and Trade of the
Russian Federation on proposal of the Head of the Service.

The number of deputies of the Head of the Federal Customs Service is
defined by the Government of the Russian Federation.

The Head of the FCS:

9.1. distributes responsibilities between the deputies;

9.2. recommends to the Minister of Economic Development and Trade of
the Russian Federation:

9.2.1. draft Regulations for the Service;

9.2.2. proposals on maximum number of executives and customs officers
and their salary budget;

9.2.3. recommendations of appointment and dismissal from office of
Deputy Heads of the Sevice;

9.2.4. recommendations of appointment and dismissal from office Heads
of Regional Customs Administrations and customs houses;

9.2.5. propositions of the draft annual plan and estimated parameters
of activity of the Service, and also report of their fulfillment;

9.2.6. proposals on forming draft Federal budget in terms of
financial provision of the activity of the Service;

9.3. appoints and dismisses from office executive officers of the
central office of the Service, Deputy Heads of Regional Customs
Administrations, custom houses, Heads of customs terminals, as well
as Heads, other executives and officers of the Service representative
offices abroad;

9.4. resolves in accordance with the legislation of the Russian
Federation on state service the issues related to service in the
Federal Customs Service;

9.5. approves the structure and personnel arrangements of the central
office of the Service within the limits of labor compensation and
personnel numbers established by the Government of the Russian
Federation for the FCS and the estimate of costs for maintenance of
the Service within the limits of the allocations approved for
relevant period by the Federal budget;

9.6. approves the number and labor compensation funds of employees of
Regional Customs Administrations, customs houses and customs
terminals, organizations under the jurisdiction of the Service, and
representative offices of the Service abroad within the indices
established by the Government of the Russian Federation, as well as
estimate of costs for their maintenance within the limits of the
allocations approved for relevant period by the Federal budget;

9.7. defines the procedure of spending the funds allocated for
measures, related to performing by customs authorities of operational
search actions;

9.8. arranges in customs bodies in accordance with established order
for handling of hand-held weapons and other weapons, ammunition, as
well as cold arms;

9.9. approves regulations on breastplates and medals of the Service
and regulations on Certificates of Merit of the Federal Customs
Service;

9.10. decorates, in accordance with procedure established by the
legislation of the Russian Federation, with personal fire arms, as
well as valuable presents or monies;

9.11. defines warrants of customs authorities and officials in
resolving of organizational, personnel, financial and other issues;

9.12. on the basis and in pursuance of the Constitution of the
Russian Federation, federal constitutional laws, federal laws,
decrees of the President of the Russian Federation, Government of the
Russian Federation, the Ministry of Economic Development and Trade,
the Ministry of Finance of the Russian Federation and the Central
Bank of the Russian Federation, issues orders on the issues referred
to competence of the Service.

The costs for maintenance of the Federal Customs Service are financed
out of the funds envisaged by the federal budget, as well as from
other sources specified by the legislation of the Russian Federation.

The Federal Customs Service is a legal entity, it has a seal with the
image of the State Coat of Arms of the Russian Federation and its
name, other seals, stamps and forms of established pattern, as well
as accounts opened in accordance with the legislation of the Russian
Federation.

The Federal Customs Service has its blazonry: emblem, flag and
pennant, approved in accordance with established procedure.

The Federal Customs Service is based in Moscow.

Organization

The structure of the Federal Customs Service (FCS) of Russia

Main Inspectorial Organizational Directorate (staff of the Head of
the FCS of Russia)

Human Resources Directorate

Main Directorate for Organization of Customs Control

Main Directorate for Contraband Control

Main Directorate for Commodity Items and Trade Limitations

Main Directorate of Logistics

Main Directorate of Federal Customs Revenues

Main Financial-Economic Directorate

Currency Control Directorate

Customs Cooperation Directorate

Directorate and General Services

Auditing Directorate

Main Directorate for Information Technologies (IT)

Legal Directorate

Internal Security Directorate

Customs Inspection Directorate

Customs Statistics and Analysis Directorate

Customs Investigations Directorate

Law Enforcement Directorate

Management

Management of the Federal Customs Service of Russia

Head of Federal Customs Service of Russia - Andrey Belyaninov

First Deputy Head of Federal Customs Service of Russia - Vladimir
Shamakhov

Deputy Head of Federal Customs Service of Russia - Nikolai Volobuev

Deputy Head of Federal Customs Service of Russia - Tatyana Golendeeva

Chapter IV - The Concept of Development of Customs Service up to 2010

I. General Provisions

The concept of development of customs authorities of the Russian
Federation (hereinafter – the Concept) defines major goals,
tasks and trends of customs authorities.

The Concept is the basis for working out of programs and plans for
development of customs authorities of the Russian Federation for
medium-term and long-term perspective.

The Concept has been worked out in accordance with the fundamental
law of the Russian Federation, Federal laws and other regulations of
the Russian Federation, as well as on the basis of the international
legal acts in the field of customs.

Currently, the influence of customs regulation has increased as an
element of state regulation of foreign trade activities for the
processes of international integration of the Russian economics in
the international economic territory.

The expansion of cooperation with the international economical and
financial institutions, the common interests of Russia and other
states in solving of many problems in the field of international
security, such as counteraction to the spread of weapons of mass
annihilation, fighting with the international terrorism and drugs
trafficking, acute environmental problems, in particular in the field
of provisions of nuclear and radiation security, conditioned
appearance of new tasks, which are to be resolved with the active
participation of customs authorities of the Russian Federation and
which predetermine their further development.

In development of customs of the Russian Federation, which is taking
place in view of domestic economical transformations and
international practice of regulation in the field of customs, it is
necessary to take into account the specifics of the geographical
situation of the Russian Federation, such as considerable dimensions
of the state borders, and also insufficient equipment status of
customs check-points, and the necessity of promoting cooperation in
the sphere of border and customs control with the neighboring states
of the Russian Federation.

The administrative reform has resulted with forming of a new
structure of the state authorities, engaged in regulation of foreign
trade activities, which are to use a complex approach to interagency
cooperation and provision of the balance of interests in the field of
customs tariffs, taxation, prohibitions and limitations, established
by the legislation of the Russian Federation.

Coming into effect from January 1rst, 2004 of the Customs Code of the
Russian Federation has created the necessary background for forming
of practically new customs legal base, compliant with the
international standards, and the conditions for defining the
priorities of development of customs authorities of the Russian
Federation. However, certain problems, related to the activity of
customs authorities of the Russian Federation, remain still
unresolved.

The potential of customs administration, which is a combination of
means and methods of provision of customs legislation compliance by
physical and legal persons, when they are conveying their goods and
transport means across the customs border of the Russian Federation,
is not realized with due efficiency, which is not allowing to provide
for the compliance with the legislation of the Russian Federation in
full and to set up a favorable competitive environment in the sphere
of foreign trade. The issue of diminishing customs value of goods and
their unauthentic declaring by the participants of foreign trade
activities remains an acute problem for customs authorities of the
Russian Federation.

The international standards promoting the implementation of trade
logistics technologies are not used in full.

The system of informing the customs authorities of the Russian
Federation of pricing, trade and industrial specialization in foreign
countries and world tendencies in specialization of labor is not yet
fully developed.

The customs of the Russian Federation are not efficient in exercising
control over the goods allowed for circulation in the customs
territory of the Russian Federation (post audit control).

Information-analytical support of law enforcement activities,
including operational search actions of customs authorities of the
Russian Federation, is not sufficient.

The interaction of operative divisions of customs authorities of the
Russian Federation with other law enforcing and control authorities
of Russia remains low.

The system of training and refresher training of personnel for
customs authorities of the Russian Federation, especially of the
specialists in the field of management and control, is not yet
adequate.

Job remuneration of senior officers of customs authorities of the
Russian Federation is not compatible with the economical significance
of the decisions they take.

The level of corruption of customs authorities of the Russian
Federation is still high.

These problems bring about decreasing of the efficiency of customs
administration, unfair competition, penetration of law quality import
goods into the Russian market and other negative phenomena.

There is a necessity of forming new attitudes to customs
administration, which may allow customs of the Russian Federation
react efficiently to the changes taking place in accordance with the
international practice and the requirements of the state and society.

II. The Goal, Tasks and Principles of Development of Customs
Authorities

The goal of the Concept is the definition of the most efficient
methods of implementation of the tasks in the field of customs in
accordance with the international standards and legislation of the
Russian Federation.

This goal may be achieved through resolving of the following tasks:

increasing of customs regulation quality, promoting creation of the
conditions for the attraction of investments into the Russian
economy, growth of revenues into the Federal budget, protection of
domestic manufacturers of goods, protection of the objects of
intellectual property, and maximum assistance to the foreign trade;

upgrading of customs administration, including the development of the
system of risks management on the basis of the implementation of
customs procedures in accordance with the international standards,
based on the latest achievements in the field of information and
management technologies;

strengthening of cooperation with the Russian, foreign and
international authorities in fighting terrorism, contraband of
weapons, drugs and counterfeit products, and also in provision of
economical, environmental and radiation security.

The realization of the tasks above, presupposes the provision in all
the territory of the Russian Federation of stable legal regime for
foreign trade, based on the approved by the World Customs
Organization the following universal principles:

standartization, modernization of customs legislation, development of
the norms, regulations and procedures taking into account the
international standards;

transparency and predictability. The customs legislation, the norms,
regulations and procedures are to be applied consistently; they are
unified, known to the public and are to be advised to all the
interested parties in the acceptable form;

minimum interference. Customs authorities are to comply with the
principles of selective approach to and sufficiency of customs
control, as much as possible, and are to apply the system of risks
management;

customer orientation. Customs administration is targeted to increase
quality of customs procedures in relation to legal and physical
persons as participants of foreign trade activities;

cooperation and partnership. The activity of customs authorities
presupposes the development of cooperation with all the participants
of foreign trade, including the state authorities, business
community, and customs authorities of other states;

balanced approach in relationship between customs control in the
field of security and measures assisting the development of trade.

The new principles defined in the framework standards for the
provision of security and alleviation of world trade, adopted by the
World Customs Organization and approved by the Federal Customs
Service are going to be the basis for the activity of customs
authorities of the Russian Federation.

On the one hand, there will be formed new approaches to customs
administration, which presuppose the provision of its high efficiency
with outward simplicity and quick customs clearance of goods and
transport means, conveyed by physical and legal persons, while on the
other hand, such approaches shall help resolve the problems, related
to decreasing of customs value of goods and their unauthentic
declaring by the participants of foreign trade activities.

The efficiency of achieving the goal of development of customs
authorities of the Russian Federation, shall be evaluated as per
following parameters:

The level of control of the compliance with the customs legislation
by the participants of foreign trade activities;

Time required for passing customs formalities during customs
clearance of goods and transport means conveyed across the border by
physical and legal entities, provided efficient customs control is
carried out;

Law enforcing activity.

The priority of separate trends of customs authorities’
activity may be changed in accordance with the tasks set by the
state.

III. The System of Measures for Implementation of the Concept

The following measures on modernization of customs administration are
to be implemented for the purposes of realizing new approaches in the
work of customs authorities of the Russian Federation:

developing of the state border of the Russian Federation;

setting up of modern warehousing customs logistical terminals;

allocating of customs authorities of the Russian Federation only in
the federally owned premises;

allocating of the chain of stationary and mobile inspectorial
supervision complexes;

amending the Customs Code of the Russian Federation and other
regulations taking into account the law enforcement practice and
amendments to the international standards;

implementing of new IT means for the support of the activities of
customs authorities of the Russian Federation;

setting up of the interagency automated system of collection, storing
and processing of information in realizing of all types of state
control, including interfacing of the data bases of the tax service
and customs authorities of the Russian Federation;

setting up of an operation centre for processing the information and
taking decisions;

modernization of the technology of forming and keeping customs
statistics in accordance with the international standards;

reinforcing of customs control after issuing of goods in circulation
in the territory of the Russian Federation (post audit control).

The evaluation of the activity of customs authorities of the Russian
Federation shall be carried out quarterly on the criteria of
efficiency targeted to the final result.

It is planned to work out a complex strategy of staffing for customs
authorities of the Russian Federation. Within this direction major
attention is to be paid to raising of quality of professional
training of customs officers, upgrading of their knowledge and
skills, management practice, raising of efficiency of remuneration
system, increasing of the prestige of customs officer occupation, and
also to setting up of the branches of the Russian Customs Academy in
the Federal Regions.

Realizing of the information technologies in the activity of customs
authorities of the Russian Federation shall take place in view of the
provisions of the Concept on using of information technologies in the
activities of the Federal authorities up to the year of 2010. Such
technologies shall allow improving the parameters of efficiency of
activity of customs authorities of the Russian Federation, setting up
the system of complex accounting and analysis of the participants of
foreign trade activity, decreasing the subjectivity in taking
decisions by the officials of customs authorities of the Russian
Federation. The information-analytical support of law enforcement
activity in the field of customs will be performed with the
assistance of information technologies.

It is also envisaged to implement new information-engineering
facilities and software, to modernize the existing facilities, to
develop the departmental integrated system of telecommunications of
customs authorities of the Russian Federation, to upgrade the
automated systems of customs clearance and customs control, to
implement the single information system of control over exportation
of goods from the territory of the Russian Federation, to implement
everywhere electronic means of information exchange with other
control authorities and customs of other states, with the
participants of foreign trade activities.

Further development of law enforcement activities of customs
authorities of the Russian Federation in counteraction to terrorism
and international drugs trafficking shall be carried out taking into
account the necessity of provision the security immediately at the
state border of the Russian Federation.

IV. The Directions of Customs Authorities Development

The benchmarks selected for the development of customs authorities of
the Russian Federation, based on information technologies and
compliant on the whole with the principles of development of customs
authorities of the leading countries of the world, definition of
clear-cut and understandable regulations of customs clearance, based
on the international conventions and recommendations, have allowed
setting up of legal and organizational basis of the activity of
customs authorities of the Russian Federation in recent years.

However, currently, customs authorities of the Russian Federation are
still at the stage of active institutional development, which is
taking place in view of the forthcoming joining of the Russian
Federation of the World Trade Organization, changing of the volumes
of flows of passengers and goods, increasing of the intensity of
foreign economic activities of the regions of the country, growth of
the needs of transportation companies, exporters and importers.

It is planned that realization of the functions of customs
authorities of the Russian Federation during customs clearance is to
be fulfilled in accordance with the norms of the international
agreements on customs issues and on the basis of the international
standards of quality (such as ISO series standards), which serve as
international basic reference standard for setting up and evaluation
of quality systems, as well as with the attraction of the foreign
trade activity participants into the process of preparation draft
laws and other regulatory documents in customs sphere, on setting up
of the transfer of a part of non specific operations, carried out by
customs authorities now, to self regulatory organizations.

For realization of these approaches it is planned to primarily use
the possibilities of customs regimes, preliminary informing and
electronic declaring, the system of risks management, based on
multifactor analysis of the information about foreign trade
transactions and which is a complex mechanism of influencing the
processes of customs control be means of minimization of risks, as
well as the single interagency automated system of collection,
storing and processing of information during implementation of all
types of state control in combination with the control on the basis
of audit methods, as well as systematic interaction with tax
authorities and other control authorities. The implementation of
electronic exchange of information with other control agencies shall
allow realizing the principles of "one window" (when
information on passengers and goods is presented only once) and "one
stop" (integrated state control).

Another important direction is the measures which when realized may
allow the inclusion of customs statistics into a single information
statistical resource of the Russian Federation.

It is planned to set up in the structure of the customs authorities
of the Russian Federation the operational center for processing the
information and taking decisions, with main task to conduct
continuous monitoring of all incoming information, its analysis using
the system of risks management and issue of operational target for
the customs offices of the Russian Federation for their selective
customs control, providing timely reactance to the threats related to
the violation of the customs legislation of the Russian Federation.

Within the framework of the above directions of development of
customs authorities of the Russian Federation it is planned to carry
out the division of work with flows of documents and flows of goods
on the basis of the international practice in combination with
preliminary and electronic declaring, which are to accelerate customs
procedures, and also to provide control over the information about
goods in the required and sufficient volume. This direction
presupposes using of electronic (paperless) flow of documents, which
shall provide for the conditions for the implementation of the
simplified customs procedures, to be used on the basis of the
reputation of the participants of foreign trade activity.

It is planned to use the technologies used in a number of mature
market countries of the type of integrated management and control on
the borders (two services at the border), based on single information
system of law enforcing and control authorities, which shall enable
combining documentary control at the check-points over the goods
conveyed across the customs border of the Russian Federation, and to
improve the quality of the inspection of these goods. As result it
will allow to create favorable conditions for the passengers crossing
the border and goods conveyed across the border, reduce the time
needed for passing the border, decrease the expenses, increase the
volume of the flow of goods, facilitate realization of trade
logistical technologies, such as "house-house", "when
due" and "turn key". The high level of quality of the
above procedures shall be achieved by means of using the system of
quality control over each particular customs operation.

V. The Implementation of the Concept

It is planned to implement the concept in 2 stages.

Stage I (2005 - 2007) – it is envisaged to carry out further
harmonization of the legislation of the Russian Federation with the
accepted norms in the field of customs. In view of the planned
joining of the Russian Federation to the World Trade Organization, it
is planned to bring the Law of the Russian Federation dated
21.05.1993, Ж 5003-1 "On customs tariff" in
compliance with Clause VII of General Agreement on Tariffs and Trade.
In 2005 – 2006 there will be completed work on forming the
position of the Russian Federation on the issue of joining the
International Convention on Simplification and Harmonization of
Customs Procedures (Kyoto, 1973, in legal wording of Brussels
Protocol of 1999). Law enforcement practice will be implemented on
the level of the international standards.

Starting from 2006 it is planned to use in the customs territory of
the Russian Federation of customs documents, used by other member
states of the European Union in accordance with the Convention on
Simplification of Formalities in Trade of Goods (Brussels, 1987). In
view of this, in 2006 - 2007 are to be changed the rules of declaring
and the forms of cargo and transit customs declarations taking into
account the requirements, envisaged for the Single Administrative
Document of the European Union in using of the Convention on Single
Transit Procedure (1987).

Stage II (2008 - 2010 and the forthcoming years), on the whole, the
construction and equipping of the objects of customs infrastructure,
will be over. Using of interagency information resources will allow
organize the work of customs authorities on “one window”
and “one stop” principles. Financial support shall be at
the expense of the Federal budget, as well as other facilities in
accordance with the legislation of the Russian Federation. It is
planned to work out interdepartmental plans for realization of the
Concept, including the interagency plan of fighting corruption.

The implementation of the Concept shall require relevant resources
within the framework of the Federal target programs and departmental
plans of purpose oriented measures, for setting up favorable
conditions for legal and physical persons going through customs
formalities and allowing reducing expenses by means of using
universal international principles.

The implementation of the measures, envisaged by Federal target
programs and departmental plans of purpose oriented measures, shall
facilitate:

reducing of time spent by the foreign trade activities participants
on customs formalities;

increasing of throughput capacity of check-points at the border of
the Russian Federation due to putting into operation of new and
modernized current check-points;

implementing of single standards and customs administration
regulations, increasing of quality of support of the activities of
foreign trade participants, using of unified customs documents and
electronic declaring, which, in result, is going to reduce
administrative expenses;

facilitating implementation of trade policies taking into account the
social and economical and investment tasks.

The complex implementation of the Concept shall allow forming of a
modern system of provision for the interests of the state in the
field of customs, rendering of efficient counteraction to the threats
of security of the Russian Federation, resolving social and
economical tasks, creating favorable conditions for the activities of
trade community, physical and legal persons.

Conclusion

In conclusion it should be noticed that customs is a highly
complicated and highly developed institution. It plays an important
role in the system of international relations. Customs is an
authority or agency in a country responsible for collecting and
safeguarding customs duties and for controlling the flow of goods
including animals, personal effects and hazardous items in and out of
a country. Customs is an important part of the government involved in
one of the three basic functions of a government, namely,
administration, maintenance of law, order and justice and collection
of revenue. This system faces many problems but it is constantly
developing seeking new opportunities for better service.